Weatherford To Pay $52.5M To End Tax Flub Class Action

Law360, Los Angeles (January 29, 2014, 9:28 PM EST) -- Weatherford International Ltd. and several executives have agreed to pay $52.5 million to settle an investor class action over tax miscalculations by the energy equipment company that overstated earnings by about $500 million, plaintiffs' attorneys told a New York federal judge Wednesday.

An attorney for the investors, who argued the company violated the Securities and Exchange Act of 1934 by concealing faulty accounting practices that ultimately caused its stock to tank 11 percent, told Law360 late Wednesday that the proposed deal will resolve all their remaining claims....